FOMC: All set to raise rates – Goldman Sachs

Analysts at Goldman Sachs expect the FOMC to raise rates at the December meeting and to remain upbeat about the general outlook.

Key Quotes

“Guidance from the meeting, the Summary of Economic Projections, and Chair Yellen’s testimony are likely to repeat the committee’s existing view that the pace of rate hikes will be gradual. In the Summary of Economic Projections (SEP), we look for: (1) modest upward revisions to GDP growth and lower unemployment rate projections for 2016 and 2017; (2) a one-tenth increase in core PCE for 2016 and 2017; and (3) unchanged median fed funds rate projections for 2017 and beyond.”